Optus will support smartphones, tablets, and laptops for the New South Wales Department of Finance and Services in a contract that it has nabbed from Telstra.

The deal, which has now commenced and will last until at least 2015, is worth initially AU$1.34 million, NSW Finance Minister Andrew Constance's office confirmed to ZDNet. This figure is based on current usage volumes for the department, but all NSW government agencies can access services from Optus as part of the agreement through the government's ServiceFirst shared services agency.

Optus will provide help desk, mobile device management, and voice, SMS, and mobile data services. As part of the deal, Optus has offered a reduced fixed monthly fee for local, national, and mobile calls and SMS rates, Constance said, adding that the majority of these services had until now been provided by Telstra.

"The structure of services and pricing in the contract mean the service will be significantly simplified, and service costs will be reduced by up to a massive 50 percent," he said in a statement.

Constance said that the deal would improve the productivity of the agency's staff.

"More agencies are using smartphones and tablets to allow their staff to work anywhere and anytime. This enhances customer service and drives productivity," he said.

"The NSW government is committed to greater agility in our workforce and the services it provides, which is why an uncomplicated and transparent agreement is absolutely essential. This contract will support the use of smartphones, tablets, and laptops to offer an agile approach to service delivery and improved business outcomes."

Optus' managing director for business John Paitaridis welcomed the announcement, and said it is an opportunity for both Optus and the department to "secure cost savings and productivity gains in government telecommunications services".

Last week, Constance unveiled 36 new actions as part of the NSW government's ICT Strategy Implementation Plan, looking to make it simpler and easier for NSW agencies to move their services into the cloud.